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2009/12/18 City Council Agenda PacketCity of Rohnert Park* 130 Avram Avenue+Rohnert Park, California 94928 Phone: (707) 588-2227 ♦ FAX: (707) 792-1876 ♦ WEB: www.rpcity.org ROHNERT PARK CITY COUNCIL SPECIAL MEETING NOTICE AND AGENDA NOTICE IS HEREBY GIVEN that a SPECIAL MEETING of the CITY COUNCIL of the CITY OF ROHNERT PARK, will be held on Friday, December 18, 2009 at 3:00 p.m. at the Rohnert Park City Hall - Council Chamber 130 Avram Avenue, Rohnert Park, California Said special meeting shall be for the purpose of the following: 3:00 p.m. 1. CITY COUNCIL SPECIAL MEETING - Call to Order/Roll Call (Belforte_ Breeze_ CallinanMackenzie_ Stafford 2. PUBLIC COMMENTS 3. ADJOURN TO CLOSED SESSION IN CONFERENCE ROOM 2A TO CONSIDER: 1. CONFERENCE WITH LABOR NEGOTIATORS (Government Code §54957.6) Agency designated representative: Daniel Schwarz, Interim City Manager Service Employees' International Union (S.E.I.U.) Local 1021 4. RECONVENE SPECIAL MEETING OPEN SESSION 5. MAYOR'S REPORT ON CLOSED SESSION (Government Code § 54957.1) 6. TENTATIVE LABOR AGREEMENT Consideration of approving the Summary of Terms and Conditions of Agreement with Service Employees' International Union (S.E.I.U.) Local 1021 1. Staff Report 2. Public Comments 3. Resolution for Adoption: a. 2009-134 Approving the Summary of Terms and Conditions of Agreement with Service Employees' International Union (S.E.I.U.) Local 1021 • Council motion • Council discussion • Council vote Rohnert Park City Council SPECIAL MEETING A14enda (2 of 2) December 18, 2009 7. FRAUD IN THE WORKPLACE POLICY Consideration of adopting a policy which defines acts of fraud and outlines the consequences of workplace fraud 1. Staff Report 2. Public Comments 3. Resolutions for Adoption: a. 2009-135 Adopting a Fraud in the Workplace Policy • Council motion • Council discussion • Council vote 8. ADJOURNMENT of City Council Special Meeting DISABLED ACCOMMODATION: If you have a disability which requires an interpreter or other person to assist you while attending this City Council meeting, please contact the City Offices at (707) 588-2225 at least 72 hours prior to the meeting to ensure arrangements for accommodation by the City. Please make sure the City Manager's office is notified as soon as possible if you have a visual impairment requiring meeting materials to be produced in another format (Braille, audio -tape, etc.) PUBLIC COMMENTS: For public comment on items listed or not listed on the agenda, or on agenda items if unable to speak at the scheduled time (limited to three minutes per appearance and a 30 minute total time limit, or allocation of time based on number of speaker cards submitted) - PLEASE FILL OUT A SPEAKER CARD PRIOR TO SPEAKING- Griffin, Terri From: Lidster, Beth Sent: Friday, December 18, 2009 8:17 AM To: Griffin, Terri Subject: FW: Special meeting Friday Here's Jake's confirmation that he received the Agenda at 1:OOpm Thursday — our time. Beth Lidster Administration 130 Avram Avenue Rohnert Park, CA 94928 707 588-2226 707 792-1876 [fax] blidster .rpcity.org From: blumacjazz@aol.com [mailto:blumacjazz@aol.com] Sent: Friday, December 18, 2009 12:27 AM To: Lidster, Beth Subject: Re: Special meeting Friday RECEIVED FAX 10pm thursday at copenhagen hotel ie 1 pm thursday pdt'- so ok.AIR FORCE ONE JUST LAND IN THE SNOW HERE AT COPENHAGEN AIRPORT WHERE IM HANGING IN THE sas lounge off to london town see ya soon JAKE 9 Jake Mackenzie, Council Member 1536 Gladstone Way, Rohnert Park, CA 94928 707-584-1195[home] 707-584- 2338[fax] -----Original Message ----- From: Lidster, Beth <blidster@rpcity.org> To: Mackenzie, Jake <jmackenzie@rpcity.org>; Blumacjazz@aol.com Cc: Lidster, Beth <blidster@rpcity.org> Sent: Wed, Dec 16, 2009 7:07 pm Subject: FW: Special meeting Friday Good morning Jake — Please follow the email thread about the Special council meeting scheduled this Friday, December 18, 2009, at 2:00 p.m. Terri said we have to get an Agenda in your hands 24 hours before the meeting. I can fax one to you if you will supply me with a fax number — or email it and have you print it out. This should be a short meeting 30-60 minutes. If you want them to Conference call you during the meeting, that is okay too — we will need your phone number (it would be about 11:00 p.m. your time). But, you don't have to worry about that because we will have a quorum. Please let me know ASAP and have a great day. Beth Lidster Administration 707 588-2226 707 792-1876 [fax] blidsterArpcity.om From: Lidster, Beth Sent: Wednesday, December 16, 2009 8:10 AM To: Stafford, Pam; Belforte, Gina; Breeze, Amie; Callinan, Joseph Cc: Griffin, Terri; Lidster, Beth Subject: Special meeting Friday Importance: High Dan would like to call a Special meeting of the Council to approve a tentative agreement with SEIU this Friday — either from 2:00-3:00pm or from 10:00-11:00am. Please let me know if either or both times would work for you as soon as possible. Thank you, Beth Lidster Administration 130 Avram Avenue Rohnert Park, CA 94928 707 588-2226 707 792-1876 [fax] blidster .rpcitV.orq .�... i�14.v V iv. IJ -2 1•AA I V I VOO 6600 li1LY Ul KO(I(I(Ary rnry Ti REPORT TRANSMISSION OR TX/RX NO 0225 RECIPIENT ADDRESS 0114533311441 DESTINATION ID ST. TIME 12/17 13:54 TIME USE 00'38 PAGES SENT 3 RESULT OR: im IUI It i Griffin, Terri From: Lidster, Beth Sent: Thursday, December 17, 2009 8:43 AM To: Griffin, Terri Subject: FW: Special Council meeting Friday, 12/18 Sounds to me like we send it to Copenhagen when it's ready. Beth Lidster Administration 130 Avram Avenue Rohnert Park, CA 94928 707 588-2226. 707 792-1876 [fax] blidsterArpcity. org From: blumacjazz@aol.com [mailto:blumacjazz@aol.com] Sent: Thursday, December 17, 2009 8:40 AM - To: Lidster, Beth Subject: Re: Special Council meeting Friday, 12/18 sorry not at hotel in london at cousins no fax number. Just send something today ill be leaving copenhagen hotel about midnight your time 9 Jake Mackenzie, Council Member 1536 Gladstone Way, Rohnert Park, CA 94928 707-584-1195[home] 707-584- 2338[fax] -----Original Message ----- From: Lidster,. Beth <bl idster @ rpcity.org> To: blumacjazz@aol.com Sent: Thu, Dec 17, 2009 5:28 pm Subject: RE: Special Council meeting Friday, 12/18 Do you want us to send it to the London hotel? If so, please give us the name of the hotel and we can track down the fax number. If you won't check out of Copenhagen until afternoon, we might be able to send it there — it depends on what time the agenda is finalized. Beth Lidster. Administration 130 Avram Avenue Rohnert Park, CA 94928 707 588-2226 707 792-1876 [fax] blidster cbrpcity.orq From: blumacjazz(abaol.com [mailto:blumacjazz@aol.coml Sent: Thursday, December 17, 2009 2:26 AM To: Lidster, Beth; santabfm(5)aol.com . Subject: Re: Special Council meeting Friday, 12/18 THx both for info will check with hotel desk re agenda.tommorrow will be in London at 11 pm london time . YES A CHAOTIC CONFERENCE. MORE NEXT WEEK. cheers from snowy CopenhagenJAKE 9 Jake Mackenzie, Council Member 1536 Gladstone Way, Rohnert Park, CA 94928 707-584-1195[home] 707-584- 2338[fax] -----Original Message ----- From: Lidster, Beth <blidster@rpcity.org> To: Blumacjazz@aol.com; Mackenzie, Jake <jmackenzie@rpcity.org> Sent: Wed, Dec 16, 2009 10:26 pm Subject: Special Council meeting Friday, 12/18 Hello again, The meeting time has been changed to 3:00 p.m. (midnight your time). 4 Councilmembers will be there, so you don't need to worry about a Conference call. We do need to get an. Agenda in your hands 24 hours, prior to meet Brown Act requirements. Please let us know the hotel fax number or if you want me to email it to someone. Thank you. From what I've read, you've had an eventful Conference. Beth Lidster Administration 130 Avram Avenue Rohnert Park, CA 94928 707 588-2226 707 792-1876 [fax] blidster upcity.orq 2 j .!'r��er•wr� � City of Rohnert Park* 130 Avram Avenue ♦ Rohnert Park, California 94928' Phone: (707) 588-2227*FAX: (707) 792-1876*WEB: www.rpcityor� ROHNERT PARK CITY COUNCIL SPECIAL MEETING NOTICE AND AGENDA NOTICE IS HEREBY GIVEN that a SPECIAL MEETING of the CITY COUNCIL of the CITY OF ROHNERT PARK, will be held on Friday, December 18, 2009 at 3:00 p.m. at the Rohnert Park City.Hall - Council Chamber 130 Avram Avenue, Rohnert Park, California Said special meeting shall be for the purpose of the following: 3:00 p.m. 1. CITY COUNCIL SPECIAL MEETING - Call to Order/Roll Call (Belforte Breeze Callinan Mackenzie Stafford 2. PUBLIC: COMMENTS 3. ADJOURN TO CLOSED SESSION IN CONFERENCE ROOM 2A TO CONSIDER: ..1. CONFERENCE WITH LABOR NEGOTIATORS (Government Code §54957.6) Agency designated representative: Daniel Schwarz, Interim City Manager Service Employees' International Union (S.E.I.U.) Local 1021 4. RECONVENE SPECIAL MEETING OPEN SESSION 5. MAYOR'S REPORT ON CLOSED SESSION (Government Code § 54957.1) 6. TENTATIVE LABOR AGREEMENT Consideration of approving the Summary of Terms and Conditions of Agreement with Service Employees' International Union (S.E.I.U.) Local 1021 1. Staff Report 2. Public Comments 3. Resolution for Adoption: a. 2009-134 Approving the ` Summary of Terms and Conditions of Agreement with Service Employees' International Union (S.E.I.U.) Local 1021 • Council motion • Council discussion 0 Council > vote 7. FRAUD IN THE WORKPLACE POLICY Consideration of adopting a policy which defines acts of fraud and outlines the consequences of workplace fraud 1. Staff Report , 2. Public Comments 3.. Resolutions for Adoption: a. 2009-135 Adopting a Fraud in the Workplace Policy • Council motion • Council discussion • Council vote 8. ADJOURNMENT of City Council Special Meeting DISABLED ACCOMMODATION: If you have a disability which requires an interpreter or other person to assist you while attending this City Council meeting, please contact the City Offices at (707) 588-2225 at least 72 hours prior to the meeting to ensure arrangements for accommodation by the City. Please make sure the City Manager's office is notified as soon as possible if you have a visual impairment requiring meeting materials to be produced in another format (Braille, audio -tape, etc.) PUBLIC COMMENTS: For public comment on items listed or not listed on the agenda, or on agenda items if unable to speak at the scheduled time (limited to three minutes per appearance and a 30 minute total time limit, or allocation of time based on number of speaker cards submitted) - PLEASE FILL OUT A SPEAKER CARD PRIOR TO SPEAKING- 12/18/09 City Council Special Meeting Agenda ITEM NO.6 RESOLUTION NO. 2009-134 RESOLUTION N0.2009-134 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROHNERT PARK APPROVING THE SUMMARY OF TERMS AND CONDITIONS OF THE AGREEMENT WITH SERVICE EMPLOYEES' INTERNATIONAL UNION (S.E.I.U.) LOCAL 1021 WHEREAS, Service Employees' International Union (S.E.I.U.) Local 1021 has ratified the terms and conditions contained in its agreement with the City of Rohnert Park ("City"); WHEREAS, S.E.I.U. Local 1021 has not yet finalized its agreement (e.g., Memorandum of Agreement) with the City; and WHEREAS, the City Council wishes to recognize and approve the Summary of Terms and Conditions of Agreement with S.E.I.U. Local 1021. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Rohnert Park that it does hereby authorize and approve the terms and conditions contained in the attached Summary of Terms and Conditions of Agreement with S.E.I.U. Local 1021 to implement employment, wage and benefit changes. BE IT FURTHER RESOLVED that the City Council directs staff to prepare the Memorandum of Agreement in accordance with the terms and conditions. DULY AND REGULARLY ADOPTED this 18`h day of December; 2009. ATTEST: City Clerk CITY OF ROHNERT PARK Mayor V Summary of Terms and Conditions of Agreement) Service Employees International Union, Local 1021 Term: Two Years (July 1, 2009 through June 30, 2011) Wage: No cost of living adjustment (COLA) during the term of the Agreement. Furloughs: • A furlough of 160 hours will be established for the term of this Agreement. Employee's monthly salary will be reduced by a percentage equal to approximately 8.89 hours per month for the 18 month period between January 1, 2010 and June 30, 2011, representing a total of 160 hours. The unpaid furlough represents an approximate annualized reduction of 3.85%.2 • By January 1, 2010 the parties will establish a schedule of the "monthly days off' for the 18 -month period, to include sixteen (16) nine -hour days off, and two (2) eight-hour days off for a total of 160 hours. Days off shall be on Mondays of non -holiday weeks (generally the third Monday of the month). • The Union agrees to suspend the portion of Section 1.1 of the Agreement that provides for all employees to work the same 9/80 schedule, and agrees to continue to work the "A/B" work schedule in place as of December 1, 2009. • This Agreement regarding Furloughs will be contained in a Side Letter. PERS Retirement: Effective July 1, 2011 newly -hired City employees will participate. in the Ca1PERS 2% at 55 retirement program. Standby: All employees living within twenty (20) minutes of the Maintenance Yard based upon MapQuest estimates shall be eligible for Standby duty. Personal Leave: All members of the bargaining unit are entitled to utilize twenty-four (24) hours of paid personal leave each year of the Agreement. This provision expires on June 30, 2011. The Department shall accommodate the request for personal leave unless the Department would incur overtime charges. This personal leave is in addition to any, other leaves granted under this Agreement. ' The purpose of the Summary of Terms and Conditions of Agreement is to provide an outline of the amendments to enable a timely implementation of salary and benefit changes. Final language of these Terms and Conditions will be incorporated in the Memoranda of Agreement (Furlough in a Side Letter) with the consent and agreement of SEIU. 2 Implementation of the furloughs for FLSA-exempt employees will differ from the implementation for non-exempt employees. The City shall meet and confer with SEN about the implementation of the furloughs for this category of employees. Agenda Packet Preparation TIMELINES for Regular City Council Meetings {This section for City Clerk Use Only) held on the 2"d & 4`h Tuesdays of each month: • Resolutions (other than standard formats for authorizations and approvals), Ordinances & Agreements to Assistant City Attorney via email for review and approval as to form DUE no 12/18/09 City Council later than NOON Three (3) Mondays prior to Council meeting date Special Meeting Agenda • Agenda items to City Manager via email for his review and responding "email authorization", synchronized with above timeframe of Assistant City Attorney review, and an email copy to the ITEM NO.7 City Clerk for drafting agendas - • Agenda Items w/attachments via email and twenty (20) complete hard copy sets with 2 sets RESOLUTION NO. 2009-135 single -sided & 18 sets double-sided/stapled to City Clerk DUE no later than NOON Two (2) Fridays prior to Council meeting date • Agenda Draft review by Mayor, City Manager, Assistant City Attorney, City Clerk no later than Tuesday morning One (1) week prior to Council meeting date • Agenda Packets distributed to City Council and Agendas posted/distributed/mailed on Thursday afternoon One (1) week prior to Council meeting date in compliance with Rohnert Park Municipal Code Section 2.08.020 and related Resolution No. 2008-173 CITY OF ROHNERT PARK COUNCIL AGENDA ITEM TRANSMITTAL REPORT Meeting Date: December 18, 2009 Department: Finance Submitted By: Sandy Lipitz, Director of Administrative Services Submittal Date: December 16, 2009 Agenda Title: Fraud in the Workplace Policy . Requested Council Action: Adopt Policy Summary: As a part of last year's audit, the City's external auditors, Odenberg, Ullakko Muranishi & Co. LLP recommended that, as a matter of "best practices", the City develop an anti -fraud policy which establishes the ground rules that clarify that fraud will not be tolerated and spells out the consequences of fraud. The auditors further suggested that this policy be acknowledged and signed by each employee/volunteer as evidence that they understand the policy. Staff has worked with the Assistant City Attorney to draft a Fraud in the Workplace Policy that outlines' acts that are considered fraudulent, the steps to be taken when fraud is suspected and the procedures to be followed in accounting for missing funds, restitution and recoveries. Staff recommends that -the City Council adopt this policy prior to the end of the calendar year so that this accomplishment can be included in the 2009 auditor's report. Enclosures: Resolution; draft policy CITY ATTORNEY'S REVIEW: Relevant documents for this agenda item have been reviewed and approved as to form by the City Attorney. CITY MANAGER'S RECOMMENDATION: O Consent Item (X) Regular Time ' (X) Approval () Public Hearing Required O Not Recommended O Submitted with Comment ( ) Policy Determination by Council O City Comments: Per Interim City Manager's review and direction for distribution of this agenda -item. RESOLUTION NO. 2009-135 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROHNERT PARK ADOPTING A FRAUD IN THE WORKPLACE POLICY WHEREAS, the City's external auditor, Odenberg, Ullakko Muranishi & Co. LLP, has recommended as a best practice that the City develop an anti -fraud policy, which defines acts of fraud, establishes that fraud in the workplace will not be tolerated and outlines the consequences of workplace fraud; WHEREAS, the City's external auditors further recommended that this policy be acknowledged and signed by each employee/volunteer as evidence that the employee/volunteer has received and understands the policy; and WHEREAS, staff has prepared a Fraud. in the Workplace policy that outlines acts that are considered fraudulent, the steps to be taken when fraud is suspected, and the procedures to be followed in accounting for missing funds, restitution and recoveries. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Rohnert Park adopts and directs City staff to implement the City. of Rohnert Park Fraud in the Workplace Policy attached as Exhibit "A." DULY AND REGULARLY ADOPTED by the City Council of the City of Rohnert Park this 18`h day of December, 2009. CITY OF ROHNERT PARK Mayor ATTEST: City Clerk EXHIBIT A City of Rohnert Park PERSONNEL PROCEDURES Effective Date: Approved by: Legal Review by: Subject: Fraud in the Workplace I PURPOSE To establish policy and procedures for clarify` rig acts4 t are considered to be fraudulent, describing the steps to be taken' when fraud or other related dishonest activities are suspected, and providing procedures to follow in accounting for missing funds, restitutio and recoveries.' II. PERSONS AFFECTED NK { All City -of Rohnert Park Employees (defined`°below) 9 � M. POLICY �wa A. STATErMENT� The CityPoM. ohnert Park ("the City is committed to protecting its assets against .the risk of loss or misuse. accordingly, it is the policy of the City of Rohnert Parkto idenfyczn.i?oriiptly investigate any possibility of fraudulent tai otedVishones —activities against the City and, when appropriate, to P' pursue legal remedies available under the law. B:. SCOPE t ° This�policy appllii°es to any actual or suspected fraud, waste or abuse of resources Jn�olving the City employees. Any investigative activity will be rl conducted. thout regard to the suspected wrongdoer's length of service, position/t tle or relationship to the City. C. DEFINITIONS 1. Fraud — an act committed by one whom, by deceit, falsehood, or other fraudulent means, defrauds the public or any person of any property, money, or valuable security or any service. Fraud, as used herein, and other similar irregularities, refer to, but are not limited to the following: 1 1271009v 1 A 80078/0012 a. Claim for reimbursement of expenses that are not job-related or authorized by the current Memorandum of Understanding. b. Forgery or unauthorized alteration of documents (checks, promissory notes, time sheets, independent contractor agreements, purchase orders, budgets, etc). c. Misappropriation of City assets (funds, securities, supplies, furniture, equipment, etc.). ° R• d. Improprieties in the handling or reportingpf}money transactions. e. Authorizing or receiving payment services not performed. f. Computer-related activity involvir destruction, forgery, or rnanlpulati City -owned software. g• h. Any apparent vic dishonest activiti i. of informati h the Cityli icants, and e -with the Fair Poli received or data or mi iation of laws related to g of material'value from those doing .ing vendors, consultants, contractors, ees. Materiality shall be determined Conflict of Interest Code, which is Code of Regulations Section 10730, Practices Commission. 2. Em lo.:.ee - any individual employed by the City of Rohnert Park, eitherNRill- or part-time status, whether or not compensated. I ent — any administrator, manager, director, supervisor, or ividual who manages or supervises funds or other resources, human resources. 4. Internal Auditor — any person or persons assigned by the City Manager to investigate any fraud or similar activity on a case by case basis. 5. External Auditor — independent audit professionals who perform annual audits of the City's financial statements. 6. Bad Faith Complaint — a complaint made with malicious intent. 2 1271009v1A 80078/0012 7. Retaliation — unlawful discrimination that occurs when an employee is harassed or suffers an adverse employment action for assisting in an.investigation of unlawful or fraudulent employment practices. Also referred to as unlawful retaliation or retaliatory harassment. IV. PROCEDURES A. REPORTING FRAUD IN THE WORKPLACE . Employees shall report all instances of suspected fraud: so by speaking with their direct supervisor. If the<einpl supervisor may be involved in the fraud or similarlyua if there is any other reason the employee belie es it wo -to report to the supervisor, the employeeshall make the next higher level of management and/st-ror%to the City Mat B. ANTI-RETALIATI.ON STA No employee shall retaliate against another li pursuant to this policy. Ernployeees found to subject to disciplinary action? up42 and inch ployees may do believes that the priate activity, or )t be appropriate rt directly to the who reports an incident ated this section may be C. INTERNAL CONTROLS ANDVVESTIGATIONS ;AA 14Q+ Each department ofle City is responsible for instituting and maintaining a systemAf irnternal control to provide'xeasonable assurance for the prevention r= and detection;,of�fraud, Srnisa propnattons,.and other- irregularities in their department. 1VIanagement4shoW7..;be familiar with the types of improprieties " that migl tZ`ccur within their area of responsibility and be alert for any indications q]f such conduct `LIss the City's in nt to `fully investigate any suspected acts of fraud, misappropriation -:or other similar -irregularity. An objective and impartial investigation -will conducted regardless of the position title length of service -or relationship with the City of any party who is suspected of fraud. w� An overview of the investigations process is as follows: 1. The Internal Auditor, in conjunction with the City Attorney, has the primary responsibility for the investigation of all activity as defined in -this policy. 2. Throughout the investigation, the Internal Auditor will inform the City Manager of pertinent investigative findings. 3 .1271009v1A 80078/0012 3. Upon conclusion of the investigation, the results will be reported to the City Manager. 4. The City Manager, following review of investigation results, will take appropriate action regarding employee misconduct.. If the investigation substantiates that fraudulent activities have occurred, disciplinary action may include termination in accordance with the City's Personnel Policies and Procedures or Memorandum of Understanding (as applicable) and referral of the case to the District Attorney's Office, or other appropriate law enforcement agency for possible prosecution. Decision to prosecute and/or refer any investigation results to the Districta`Atorney's Office or other appropriate law enforcement agency wiltKe made in conjunction with the City Attorney, as will final decision: of disposition of the -case. 5. The City may pursue every avai ordered restitution, to recover C appropriate sources:, D. RIGHT TO RESPOND A person under investigation for f essential particulars of the.allegaft investigation. Where notice 1s giv being made may submit a written investigated to the Ititernal Audi o notice is receivedTle Internal A 4 , ... submittedhereunder as part of the may V.M KEY stwitn a De -1dy, including court - the offend r or other is to begs ven notice in writing of )rior to the,reclusion of the 11 -person ag rest whom allegations are tnation concerning such matters being later than seven calendar days after ir, shall consider any written explanation :stigation record. The Internal Auditor funder investigation for fraud as and Commissioner. Responsibilities the Mdyor, a City Council member, or a Commissioner has reason >uspe t that fraud has occurred, he or she shall immediately contact 'City Manager. 2. The Mayor, City Council member, or, Commissioner shall not attempt to investigate .the suspected fraud or discuss the matter with anyone other than the City Manager. 3. The alleged fraud or audit investigation shall not be discussed with.the media by any person other than through the City Manager in consultation with the City Attorney and the Internal Auditor. B. Management Responsibilities 4 1271009v1A 80078/0012 1. Management is -responsible for being alert to and reporting to their immediate supervisor any fraudulent or related dishonest activities in their areas of responsibility. - 2. Each manager should be familiar with the types of improprieties that might occur in his or her area and be alert for any indication that - improper activity, misappropriation, or dishonest activity is or was in existence in his or her area. 3. When an improper activity is detected suspected, management should determine whether an error or mistake has occurred or if there may be dishonest or fraudulent activity- r 4. If management determines a susp".ebte&activity' -4y.involvefraud or related dishonest activity, ey should contact'N'their immediate supervisor. Department Directors should inform the City Manager. 5. Management should not attemptto conduct individual i stigations; interviews, or inte ogations. However; management -is responsible for taking appropriate c' rrective actions t �In�sure adequate controls exist to prevent recurrence;'of44mpro er actions ` 6. Management shall support the City'M'anager's responsibilities and cooperate a ly with the InternaI Auditor and other involved departments, and law enfo cement agencies in the detection, reporting, O nvestigation of criminal acts,. including the prosecution of offend' rs " 4k,9� � A 7. ,V'S' biect t6f ;applicable federal, state and local laws governing confidentiali y management, in conjunction with the City Attorney's officeshall provide access to all necessary records and personnel in n' connection with any City investigation of fraudulent activities. t ' 8In dealing with suspected dishonest or fraudulent activities, great care mustbe taken. Therefore, management should avoid the following: a. Incorrect accusations. b. Alerting suspected individuals that an investigation is underway. c. Treating employees unfairly. d. Making statements that. could lead to claims of false accusations or other offenses. 9. In handling dishonest or fraudulent activities, management has the responsibility to: 5 1271009AA 80078/0012 a. Make no contact (unless requested) with the suspected individual to determine facts or demand restitution. Under no circumstances should there be any reference to "what you did", "the crime", "the fraud", "the misappropriation", etc. b. Avoid discussing the case, facts, suspicions, or allegations with anyone outside the City, unless specifically directed to do so by the City Attorney. c. Avoid discussing the case with anyone --inside the City other than employees who have a needto know such as the City 1411' Manager, Internal Auditor, CityAttorney, or law enforcement personnel. d. Direct all inquiries fro imilie suspected individual or his or her representative, to the City Manager or CityAttorney. All inquiries by an attorneyof the suspected individual should be directed to the City Atto eye`' All'�inquiries from; the media should be directed to the CitvOManaaer. e. Take appropH including dism accordance wi C. Inter'ialAuditor 'Resnonsibiliti 'romntly investiaate the and disc pl`mary action, up to and t isultin&with the City Manager, in re' sonnel Policies and Procedures riding (as applicable). City Manager, the Internal Auditor will 2. In allci'rcumsta.nces where the City Manager. determines there to be reasonable grounds for suspecting that a fraud has taken place, the City 0 Manager 1m ay direct the Internal Auditor, in consultation with the City '; ;attorney, to contact the Rohnert Park Public Safety Department. 3, The Internal Auditor may be authorized, to receive relevant, confidential information to the extent allowed by law, as determined by the City Manager and the consultation with the City Attorney. The Internal Auditor shall take all necessary steps to maintain the confidentiality of such information. 4. If evidence gathered by the Internal Auditor substantiates a finding of possible dishonest. or fraudulent activities, the Internal Auditor will proceed as follows: 6 1271009v1A 80078/0012 a. Discuss the finding with managementand the Department Director. b. Advise management, if the case involves staff members, to meet with the City Manager (or his/her designated representative) to determine if disciplinary actions should be taken. c. If directed by. the City Manager, report- to the External Auditor such activities in order to assess the effect of the illegal activity on the City's finanal statements. d. If directed by the City Manager;scoordinate with the City's Risk Management regarding notification to insurers and filing of insurance claimsf . ,.. e. Take immediateAaction, in, consultationthPthe City Attorney, to prevefif; the alteration, orad. estruction of evidentiary records. Such�actlon shall include, but is not i. Removing the records 2 drplacing them in a secure location, orhkmting access to the location where the %_ "ITRI11 Preventing the individual suspected of committing the fraudN.Erom having access to the records. ,Ife Internal Auditors ontacted by the media regarding an alleged Eaud�or ud investigation, the -Internal Auditor will consult with the Ci�y; Manage'? d „the City Attorney, as appropriate, before responding to am requestjfor information or interview. At the conclusion of the investigation, the Internal Auditor will `document the results in a confidential memorandum report to the City Manager and the City Attorney. If the report concludes that fraud has Moc , ed, the City Manager, in consultation with the City Attorney, may authorize the report to be forwarded to the Rohnert Park Public Safety Department. 7. The Internal Auditor will be required to make recommendations to the appropriate department* for assistance -in the prevention of future similar occurrences. 8. Upon completion of the investigation; including all legal and personnel actions, all records, documents, and other evidentiary material; 7 12710090A 80078/0012 obtained from the department under investigation will be returned by the Internal Auditor to that department. D. Employee Responsibilities 1. A suspected fraudulent incident or practice observed by, or made known to, an employee must be reported to the employee's supervisor for reporting to the proper management official. 2. When the employee believes the supervisor may be involved in the inappropriate activity, the employee shall make the report directly to the next higher level of management and/oZthe City Manager. �� 60 3. The reporting employees shall refrainfrom furthe, investigation of the incident, confrontation with* the alleg edd . iolator ib ',� irther discussion of the incident with anyone, l ess requested by the City Manager, Internal Auditor, City Attorne dor law enforcement p re sonnei 4. Any employee who makes a Bad0a th Complaint and/or any report under this policy which the employeNknows or has, reason to believe is false shall be subjeto disc plinary actio including but not limited to termination, as. detenn nod by`the City Manager. 8 12710090A 80078/0012